Government Unveils Major Job and Skilling Initiatives in 2024 Budget, Aiming to Empower One Crore Youth

Government Unveils Major Job and Skilling Initiatives in 2024 Budget, Aiming to Empower One Crore Youth

The announcement by Finance Secretary T.V. Somanathan highlights several new job and skill development initiatives set to be launched this financial year as part of the Prime Minister’s package. Key elements include:

Internship Program for Youth:

• Target: One crore youth.
• Participants: 500 top companies.
• Purpose: To provide work experience to young people, enhancing their employability and bridging the gap between academic learning and industry needs.

Employment-Linked Incentive Schemes:

• Coverage: Designed to be inclusive across various industries, without being restricted to specific sectors or technologies.
• Salary Cap: The government will incentivize hiring first-time employees with a salary limit of up to ₹1 lakh per month. This focus is on attracting high-skilled talent, particularly in areas like artificial intelligence (AI).

Sector-Neutral Approach:

• Aim: To encompass a broad range of sectors, including services, rather than concentrating solely on lower-salary jobs. The incentive is capped at 24% of a ₹25,000 salary, providing substantial support even for positions with higher pay.

Skilling Initiative:

• Administered by: Ministry of Corporate Affairs, distinct from the Pradhan Mantri Kaushal Vikas Yojana 4.0.
• Involvement: The initiative encourages companies to use Corporate Social Responsibility (CSR) funds in conjunction with government resources. This collaborative effort aims to enhance skills among the youth, addressing a critical gap between the skill sets of new graduates and industry requirements.

These measures represent a comprehensive approach to fostering employment and skill development across India. By encouraging private sector involvement and providing targeted incentives, the government seeks to create a more dynamic and inclusive job market, supporting both economic growth and individual career advancement.